Name Name - Date year (click your master to change) OLIVER LEE FARMING ADVICE SERVICE

Transcription

1 COMMON An Introduction AGRICULTURAL to the Farming POLICY Advice Service (CAP) UPDATE Name Name - Date year (click your master to change) OLIVER LEE FARMING ADVICE SERVICE

2 SECTOR PERFORMANCE Farm Business Income, England 2007/08 to 2012/13 120, /13 Diversif 100,000 Agri-Env SPS 80,000 60,000 Click to edit Master title style Agriculture 2007/ /11 140,750 40,000 20,000 0 Cereals General Cropping Dairy Grazing Livestock (Lowland) Source: DEFRA / Andersons Grazing Livestock (LFA) Specialist Pigs Specialist Poultry

3 ORIGINAL CAP PROPOSALS New Basic Payment Scheme (BPS) to start 1 st Jan 2014, New entitlements based on land occupied only for those that claimed SPS in 2011 Click Historic to basis edit (Wales Master & title Scot) style to go over 5 years EU-wide Greening measures - crop rotation; retention of permanent pasture; ecological focus areas Tops-ups Young Farmers, Small Farmers, Areas with Natural Constraints, Coupled payments Capping BPS above 150,000; nothing beyond 300,000 Active farmer test for non-farming businesses

4 THE EU BUDGET CAP reform taking place in shadow of EU Budget setting Multi-Annual Financial Framework (MFF) for % cut in overall CAP budget. Equal in Pillar 1 and 2 Click Share to for edit UK not Master yet clear title style Commission Agreed bn Source: EU Institutions / Andersons Pillar1 (SPS) Pillar 2 (Rural Dev.)* Cohesion All Other Outside MFF * includes fisheries

5 PROCESS AND TIMINGS EU Commission Conciliation Click to edit Master title style Proposals European Parliament Council of Ministers Position EU Comms n Agreement Implementing Regs. Approval Member States Consultation Farming Industry Computer systems, forms, guidance books Oct 2011 Mar 2013? June 2013? Autumn 2013 Winter 2013/14 Summer 2014 Start date for new Basic Payment Scheme 1 st Jan 2015 (90%)

6 PILLAR 1 OUTCOMES 100% Some sort of Greening Weakening of original Greening proposals Entitlement roll-over for England no Golden Ticket Click Equivalence to edit Master allowed: title style ELS to satisfy Greening No Greening only loses 30% of BPS 50% Amendments to three current English regions Proposed Active Farmer test 0% Capping of BPS to be introduced in England Use of Top-Up schemes in England

7 RURAL DEVELOPMENT Squeeze on funding - lower amount in EU budget and UK share not improved - modulation possible but lower (15% v 19%) and no matchfunding to edit requirement Master title style Click New Rural Development Plans needed post-2013 Likely to be a gap in provision through 2014 problems for those with classic schemes or ELS expiring More focus on competitiveness and efficiency (less on environment?) ELS elements to greening end of broad & shallow? Intermediate Level Stewardship? Value for money will be driving principle

8 BUDGETING SPS (BPS) Estimated English Rates 2011 to * = 175* -17% Click to edit Master title style Alternative per Ha Net Lowland England SDA Areas Moorland Lowland England SDA Areas Moorland Source: Andersons * At 1 = 80p

9 PRACTICAL POINTS Business restructuring can go ahead (and should ) particularly in light of reduced budget Monitor entitlement outcome and values Click ELS to to be edit closed Master from title 2014 style renew agreements Tenancies (+ Contract Farming Agreements) - agreements need suitable entitlement clauses - flexibility on rents post-2014 if payments fall - Effects on surpluses from contract farming agreement Be ready to react when final agreement becomes clear Not a radical reform tinkering with present system Structural change will be driven by the amount of money

10 COMMON An Introduction AGRICULTURAL to the Farming POLICY Advice Service (CAP) UPDATE Name Name - Date year (click your master to change) OLIVER LEE FARMING ADVICE SERVICE